Transforming CEVA’s Outsourcing Model

The Challenge for the Client

CEVA is one of the world’s leading logistics and supply-chain management companies and has over 40,000 employees spread across more than 160 countries. With a long history of outsourcing its IT Infrastructure and applications support services in a piecemeal fashion, CEVA wanted to transform all its arrangements into a single global managed services agreement. In addition, it sought to move away from all existing input-based charging models, replacing them with an outcome-based, solution oriented contract.

Complex Scope

Acert was selected by the Global Infrastructure CIO to drive the commercial aspects of the project.

Working closely with the global infrastructure central procurement teams we supported the development of the initial business case and obtained a green light to effect the reform. Using the agreed design principles, we then developed the global outsource support agreement. Detailed RACI matrices were developed across all key service areas for inclusion in the contract, along with comprehensive governance processes, a detailed Service Level and Service Credit regime, continuous improvement obligations, and audit and benchmark processes.

Tangible Business Benefits

Acting as commercial lead, Acert directed supplier negotiations leading to a successful outcome for all parties. The contract model and negotiation process secured an improved quality of service from the supplier together with substantial business efficiency improvements derived from centralised visibility and control, delivering close to €1m savings per annum.